Kathy Matsui, managing director and chief Japan strategist at Goldman Sachs Japan, explains that the latest Asian correction was prompted by "inflated expectations" and where she sees the Nikkei heading.

Global markets slumped on Tuesday in a sell-off that encompassed nearly every major asset class, after the Japanese central bank failed to address recent volatility and investors worried about the end of central bank liquidity.

CNBC's Deirdre Wang Morris and Ross Westgate report on all the market moving events from Asia and Europe, as the Bank of Japan's recent monetary policy sent Asian shares lower, and the ECB's bond-buying policy comes under legal scrutiny.

Alvin Liew, senior economist at United Overseas Bank and Chris Williamson, chief economist at Markit, talk about the Bank of Japan's decision to keep its stimulus program unchanged and the outlook for the country.